Results 6,501-6,520 of 16,492 for speaker:Ciarán Lynch

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Consequent to last night’s statement, many people in the mix will be very interested in knowing the detail. What level of supervision can be applied to the voluntary code of practice that was announced in the press statement last evening?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Who supervises that? The Central Bank would supervise the banks that fall under the regulator's office. Who supervises this one?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: So the Central Bank will not be supervising any of these loans after the sale?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: That brings me on to the next question. There are resolution targets. The delegation mentioned its own resolution targets in its opening statement. I will return to this later. Under the existing scheme, set out around April of last year, very specific targets were set for the banks. There are percentages of 25%, 35%, 50%, etc. There was a carrot-and-stick approach. The stick approach...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: That is not the question I am asking. Mr. Wallace referred to the current state of play and said that following the sale of the loan book, a voluntary code of practice will apply, but I am saying the current resolution process for people in Allied Irish Banks, Bank of Ireland, Ulster Bank, Permanent TSB involves very specific targets which, if not met, result in the application of penalties...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Is there no structure for the resolution process and are no targets in place for the period after the sale?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Following the sale of the loan book, will homeowners be in a position to transfer their loan from the new financial institution to an institution subscribing to the code of conduct and subject to regulation by the Central Bank?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Let me move on to the Department of Finance. The statement issued last evening by the liquidator claims all the parties now in phase 2 agree on abiding by the voluntary code of conduct. In earlier comments by the Minister and the Department, there seems to have been concern about the rating in terms of the creditors' best interests and distortion with regard to the value of the book on the...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: I need to thrash this out with Ms Nolan again, if she does not mind. The earlier argument was that creditors would be at a disadvantage if we were to legislate for a code that would have devalued the book. Because everybody has now signed up to the voluntary code, there is no negative impact on the loan book. Putting aside the fact that the State is the major creditor, what is the...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Would Ms Nolan admit that the creditor position has changed quite radically now that everyone is on the same hymn sheet in terms of purchasing?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Mr. Wallace referred to the people in resolution processes. When the banks' representatives appeared before this committee, they told us that thousands of people were in resolution processes but we discovered that the resolution process was a letter telling people to engage with the banks. I would be interested to know what Mr. Wallace's resolution processes are. For instance, how many...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: I want to move on to another matter.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: An earlier point concerned somebody who may wish to switch financial institutions. The audit committee members will be referring to this in their own questions. The concern for people on the existing mortgage loan book is that they are in performing mortgages, albeit by their fingernails. Am I correct in stating that everyone currently in a performing mortgage on the book Mr. Wallace is...

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: What is the percentage?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: That is less than 1%.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: There is a presentable risk, therefore, in that the variable nature of these mortgages means the rate can be changed upwards.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: If one looks at the other loan books - across AIB, Bank of Ireland and so forth - nobody has 99.9% of the book on variable mortgages.

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: What is the percentage of people in resolution situations?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: Are they people who are not responding to any engagement?

Joint Oireachtas Committee on Finance, Public Expenditure and Reform: Sale of IBRC Mortgage Loan Book: Discussion (26 Feb 2014)

Ciarán Lynch: The people who are not engaging with the special liquidators could be doing so for 101 different reasons. Is Mr. Wallace indicating that half the 74% group are currently in a resolution process and the other half are due to come to some structured resolution?